Location: Miller County, MO | Metro: Camden County, MO
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $710 |
| 1 Bedroom | $750 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,470 |
| 5 Bedrooms | $1,705 |
| 6 Bedrooms | $1,910 |
| 7 Bedrooms | $2,063 |
| 8 Bedrooms | $2,166 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $960 | $247,223 | 0.39% | F |
| 3BR | $1,330 | $360,816 | 0.37% | F |
| 4BR | $1,470 | $543,910 | 0.27% | F |
| 5BR | $1,705 | $812,645 | 0.21% | F |
U.S. Census Bureau data (2024)
The classification of ZIP code 65065, located in Osage Beach, MO, reveals a unique balance between yield and stability that leans towards a moderate investment opportunity. The Federal Market Rent (FMR) for the metro area in fiscal year 2026 is set at $900, while the market rent stands at $1,350. This indicates a potential rental income gap, suggesting a higher yield compared to federally subsidized rents.
The median home value in ZIP 65065 is $326,636, which provides a baseline for property values. However, it's important to note that the rental yield is significantly influenced by the disparity between FMR and market rents. Landlords can expect to generate an above-average cash flow if they operate outside of the Section 8 program, utilizing the market rent figure of $1,350.
On the stability axis, ZIP 65065 shows mixed signals. With 32.6% of residents being renters, the area has a notable but not overwhelming proportion of tenants. The days on market (DOM) average of 110 days suggests some level of difficulty in renting out properties, indicating lower stability in terms of occupancy rates. Additionally, the median household income of $60,785 provides context on the financial capacity of potential tenants, though this figure alone does not guarantee stable tenancy.
Considering these factors, ZIP 65065 is best classified as a market offering a moderate yield with relatively low stability. It is not a high-yield/low-stability 'flip-style' market due to the reasonable DOM average and the significant portion of homeowners, which stabilizes the overall housing market. However, it also doesn't qualify as a 'steady-cashflow' zone because of the slightly elevated DOM and the need to carefully screen tenants to ensure timely payments given the income levels.
To summarize, the potential for a strong rental income exists, driven by the $1,350 market rent compared to the $900 FMR. Yet, landlords should be prepared for some variability in tenant retention and occupancy rates, as indicated by the 110-day DOM and the 32.6% renter population. This makes ZIP 65065 a viable option for those willing to manage a moderate level of risk for potentially higher returns.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.